Connect us on:
Loading
In direct tax updates, the expansion of Safe Harbour Rules aims to attract foreign diamond companies, offering a significant boost to India’s diamond sector. The CBDT issued new guidelines on waiver and reduction of interest under Section 220(2) of the Income Tax Act, and launched an electronic campaign to address mismatches in reported income and transactions.
Judicial rulings included the Mumbai ITAT’s clarification that brokers aren’t liable for TDS under Section 194A on exchange-based transactions, and the Hyderabad ITAT’s interpretation supporting Section 115BAB tax benefits for newly incorporated manufacturing entities.
Under indirect tax, the CBIC issued several clarifications, including TDS filing requirements for scrap dealers, monthly return filing protocols via the IGCR portal, and mandatory sequential filing of GSTR-7 returns.
Key judicial updates in GST included a Kerala High Court ruling that contractors cannot claim additional GST if contracts are tax-inclusive, and a Madras High Court judgment emphasizing adherence to natural justice in GST demand disputes.
On the audit front, the NFRA has proposed sweeping revisions to India’s auditing standards, indicating significant upcoming changes in audit compliance frameworks.
Regulatory developments included stricter SEBI rules for SME IPOs to enhance investor safeguards, RBI’s new operational framework for reclassifying FPIs as FDIs, and an expansion in foreign exchange transaction reporting to trade repositories for enhanced transparency.
Lastly, the Compliance Calendar for January 2025 helps organizations stay on top of their tax and regulatory obligations.
Download the full publication below.